Pleasant Hill: Woman pleads guilty to defrauding IRS

PLEASANT HILL--A Pleasant Hill woman admitted filing hundreds of fake tax returns and using nearly $52,000 in illicit refunds to buy personal items and illegal drugs, the U.S. Department of Justice said Tuesday.

Beginning in 2011, Sherry L Hender, 50, opened a business bank account in the name of "She-File Tax Assistance for Household Employees," which was used to receive tax refunds, according to a statement from the U.S. Attorney's Office. She then prepared and submitted fraudulent income tax returns, collecting $51,629 in refunds.

Questioned in 2012, Hender told special agents that she knew the tax refund money was obtained fraudulently and promised to return it to the Internal Revenue Service. But instead of returning the money, Hender instead spent it on "personal items" and illegal drugs, the statement said.

She has pleaded guilty Tuesday to one count of theft of government property and one count of aggravated identity theft.

Hender will be sentenced September 9 and faces up to 12 years in prison.